[WARNING] State Farm Life Insurance Costs Up to 137% More!



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Hi, I'm Chris Huntley, an 18-year veteran in the life insurance space and serious nerd when it comes to digging deep into companies like State Farm.

And I must admit...

I don't like State Farm very much as a life insurance provider.

Summary of State Farm Life Insurance

In short, State Farm is a very reputable, highly rated company, but they're quite expensive.  In some cases, life insurance through State Farm costs as much as 137% more. (See case study)  

Their underwriting is also quite stringent.  If you're not the perfect picture of health, I recommend getting quotes from other companies.  

In this review, I'll tell you all the ins and outs, pros and cons, as well as the good, the bad, and the ugly when it comes to State Farm.

Here's a quick guide to the article:

State Farm Life Insurance Review - Warning, State Farm Costs a Lot More

State Farm may be an insurance giant, but this does not make them better than the independent agent.  It just means they are bigger and have more name recognition.

This State Farm review article will explain in detail why you should almost never buy life insurance from this company.

Let's get started.

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Company Overview:  Insurance Sales & Financial Ratings

State Farm was founded on June 7, 1922 (99 years old) and is a mutual insurance company, meaning they're owned by shareholders.

Michael L. Tipsord is the current chairman and CEO of the company.

Their company slogan is "Like a good neighbor, State Farm is there," although they have also used the following taglines in their advertising:

  • "Get to a better state"
  • "State Farm is there for Life"
  • "Here to help life go right"
History and Financial Ratings of State Farm Insurance

A Life Insurance Giant:

We all know State Farm is an insurance behemoth, but most of us only recognize them for home and auto insurance.

But according to the National Association of Insurance Commissioners, State Farm also ranked #7 in the U.S. in 2020 for collected life insurance premiums!

State Farm Sells a Lot of Life Insurance - They're Ranked 7 In the US

NAIC Report, 2020 - Linked Above

In fact, they brought in a whopping $4.9 Billion in direct premiums, placing them just behind the likes of life insurance heavy hitters, Prudential, Lincoln National, and Mass Mutual.

... not to shabby for a company we all assumed just sold auto insurance!

A Financial Juggernaut:

One of the biggest pros to State Farm is their financial security.

They are currently rated A++ by A.M. Best.  This is the highest possible rating A.M. Best gives.   

It's pretty rare to earn this rating!

In fact, in 18 years of selling insurance, I've never had the good fortune to represent an A++ rated carrier.

But as you can see, they've got over $3.9 billion in cash and short-term investments (that's not a typo!) and $58.9 billion in bonds.  They also have $75 billion in funds for protection of policyholders.

State Farm Mutual Automobile Insurance Company - 2020 Financial Statement of Condition to Policyholders

State Farm's financial "Statement of Condition" per their 2020 Annual Report to policyholders

Simply put, if you have State Farm, the last thing you need to worry about when your head hits the pillow at night is whether your insurance company can pay out when the time comes!

They also hold an AA rating from S&P Global Ratings.

Both of these ratings have been earned due to State Farm's exceptional claims paying history, superior financial condition, and a strong ability to meet ongoing payment obligations.

Locations:

State Farm is headquartered in Bloomington, IL.  They also have large office buildings in Atlanta, GA, Richardson, TX, and Tempe, AZ.

Interestingly, Atlanta is also the location of State Farm Arena, home of the NBA team, the Atlanta Falcons.  (I'm sorry to say clients do not receive discounts on tickets!)

State Availability & Licensing:

Most life insurance products are offered in 49 states, although some restrictions apply.  

Policies are written through State Farm Life Insurance Company in every state but MA, NY, and WI.  For life insurance in NY and WI, policies are issued by State Farm Life and Accident Assurance Company.  State Farm does not appear to offer life insurance in MA, but check their website for details.

Types of Life Insurance State Farm Offers

State Farm offers a variety of life insurance products and riders.

Their product line includes:

  • Term life insurance
  • No exam term life insurance
  • Return of premium life insurance
  • Universal life insurance
  • and Whole life insurance

State Farm's Term Life Insurance Options:

State Farm has a suite of term plans known as their "Select Term" product line.  

These policies offer a guaranteed death benefit for the duration of the term you select, from 10 to 30 years.  You can also keep the coverage after the initial term by renewing the policy to age 95 at an increased cost.

Their offerings include:

  • Select Term-10
  • Select Term-20
  • Select Term-30

Coverage starts at $100,000 and it does require a medical exam.

Here are some sample rates from State Farm's website for their term products. The rates below are for $250,000 of coverage for a 25-year-old, healthy female.

Sample State Farm Term Quotes - 10, 20, 30 Years 250,000 of Coverage - 25 Year Old Female

Screenshot taken from StateFarm.com, January 2022.  Citation link above.

Issue Ages:

One of the disadvantages to buying term life insurance from State Farm is their very low issue ages.

  • 18 to 75 for Select Term-10
  • 18 to 65 for Select Term-20
  • 18 to 45 for Select Term-30

You can find 30-year term options at other companies at much older ages.  Say you're 53 years old, for example.  You wouldn't be able to buy a 30-year term policy from State Farm.  

However, you could from several other companies with higher issues ages for 30-year term, such as AIG, who allows you to buy 30-year term up to age 55.

No Exam Life Insurance Options:

State Farm also offers a term life insurance product that does not require a medical exam called Instant Answer Term Insurance.

Instant Answer Term Insurance - No Exam Coverage up to 50,000 through State Farm

Screenshot of StateFarm.com, January 2022

"Instant Answer" offers up to $50,000 of death benefit protection up to age 50 or for a maximum of 10 years, whichever is longer.

You might look at it like an entry level term life insurance policy.  It's designed to provide a base level of life insurance protection at an affordable price.

You can apply for this coverage in a State Farm agent's office and get your underwriting decision and policy in hand (if approved) the same day.

Return of Premium Options:

This is a nice feature that some term providers no longer offer, but State Farm does!

It's called return of premium life insurance.

State Farm's product is called Adjustable Premium Level Term Life Insurance.

Essentially, it's 20 or 30-year term life insurance that costs more than the standard option.  However, at the end of the 20 or 30-year period, you get back all the policy premiums you've paid.



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Universal Life Insurance Options:

State Farm also offers a policy known only as "Universal Life."  This is a flexible premium policy designed to provide coverage for an individual's entire life.  

The way it does this is by building up cash value in the early years to help pay the cost of insurance as the individual gets older.

Joint universal life insurance, which may be appropriate for couples or business partners, offers coverage for two individuals and pays an income-tax free death benefit at the passing of the first insured.

Another interesting variation is State Farm's Survivorship Universal Life policy for married couples, which pays out on the second death.

These policies are mostly used for estate preservation, to fund a trust, and charitable giving.

The product's official name is the "Flexible Premium Joint and Last to Die Survivorship Adjustable Life Insurance" or "Flexible Premium Joint and Last to Die Survivorship Universal Life (IL)."

Whole Life Insurance Options:

Whole Life also is designed to offer coverage for an individual's entire life.  It also builds a cash value, but premium payments tend to be less flexible.

State Farm offers the following kinds:

  • 10 Pay Life, 15 Pay Life, 20 Pay Life - Increased premiums in earlier years "pays up" the policy for life
  • Single Premium Whole Life - A single premium is all it takes to fund this policy for life
  • Final Expense/$10,000 Whole Life Insurance (NY) - Provides a fixed death benefit of $10,000 to your beneficiaries.  Available at issue ages 50-80 except in NY where it's available up to age 75.

Optional Riders:

When requesting a quote from State Farm, they allow you to add riders, which are optional additions to your coverage.  

State Farm Waiver of Disability, Spousal Coverage, Child Coverage Options

Screenshot of StateFarm.com, January 2022

Here are their most common rider options:

  • Waiver of Premium Benefit Rider - This is sometimes called the Waiver of Monthly Deduction Benefit Rider, depending on the product, but the gist is the same.  It allows you to stop making premium payments if you become disabled.
  • Children's Term Life Insurance Benefit Rider - Child riders are added to adult coverage with little-to-now underwriting, typically just a question or two about the child.  It's a quick and easy way to add coverage on your child at a low cost.  I found instances on the site where it showed a $50 per year cost for $10,000 of child coverage.  It insures them to age 25.
  • Select Term Rider - Once you are covered, you can add another individual, such as a spouse, with this rider.  You can also make it a Family Plan by adding a child.
  • Flexible Care Benefit Rider - Allows you receive cash benefits should you become chronically ill, to help with the cost of care.  It essentially accelerates your death benefit and pulls the benefits from there.  Funds received also reduct your death benefit.  There is also a cost for the rider and may not be available on all products.  The details are sketchy on StateFarm.com so speak to an agent for details.

For a full list of State Farm's life insurance and rider offerings, please refer to their Policy Series Information. 

However, some of these, such as the "Preliminary Term Life Insurance Benefit Rider" and the "Four Year Level Term Joint and Last to Die Survivorship Life Insurance Benefit Rider" are not found anywhere online except on this page, so you may need to ask a State Farm agent for them, or they may be discontinued.

Americans are terrible at this one thing...

recent study found that more than half of Americans overestimate the cost of term life insurance by three times.  If you've never gotten a personalized quote or only seen quotes from one company, you likely have no idea how inexpensive life insurance really is!

State Farm Pricing: A step-by-step look at getting a quote

In this section, I'll show you an over-my-shoulder look into getting a life insurance quote from State Farm online as well as show you my quote results, and other quote samples from State Farm.

The Exact Steps I Took to Get a Quote (With Step-by-Step Images)

Step One:  Start Your Quote Request

At this point, I'm going to walk you through the entire term life insurance quote process from start to finish on the State Farm site.  

Before we start, you should know you can follow along and no personal information is required!  That's rare these days and I really appreciate that about State Farm.  They let you see the rates before collecting your name, phone number, or email.  Good job, State Farm!

>> Want to compare rates?  Click here for our free quote form (no personal info required!)

I started my term quote request at statefarm.com.  

There's no specific inner page where you have to request the quote.  It's just the homepage.  You'll just need to select "Life Insurance" from the product dropdown menu, add your zip code, and click to start your quote.

State Farm homepage - Can Get a Life Insurance Quote here

All screenshots of the quote process taken from StateFarm.com, January 2022

But note that if you want permanent coverage such as whole life or universal life, or want a quote for Instant Answer Term Insurance or a Return of Premium policy, you'll need to get a quote from a State Farm agent.

Step Two: Basic Screening Details

Next, their online portal asks the following when getting a quote:

  • Date of birth
  • Gender
  • Tobacco - they ask if you’ve used tobacco in the past 3 years
  • Height/Weight
  • Health
  • Coverage type and amount needed

It's very quick and modern looking.  It looks like this.

Health Screening Questions

Step Three: Select a Health Category 

Next, they ask you to select a health category that “you would like us to consider” in determining your quote.  

Your options are:

  • Fair
  • Average
  • Good 
  • Excellent

Pro Tip:

Click the "View Definitions" dropdown button to see the explanations of these health categories.

State Farm Health Screening in Online Life Insurance Quote System

Your job in this step is to read the descriptions and place yourself into the category that most closely fits your health details.

For example, in order to get their best health class, you'll need to meet the following criteria:

  • No family history of cancer or heart disease
  • Frequent vigorous exercise
  • Cholesterol less than 175
  • Blood pressure less than 115/70
  • No traffic violations

The wording is a bit funny.  It sounds as if by choosing one of these options, you’re asking State Farm to consider approving you at that rate.

I think, instead, all they’re doing is trying to give you an idea of which health class you will likely fit into so they can give you a more accurate quote.  

Step Four: Select Coverage Amount and Term Length

Next, simply use the dropdowns to choose the amount of coverage and term length you want.

State Farm term life insurance options are 10, 20, and 30 year term

For the coverage amounts, you can choose from:

  • $100,000 (minimum amount)
  • $250,000
  • $500,000
  • $750,000
  • $1 million
  • Or choose other to fill in a different amount such as $300,000 or $800,000

You can only choose 10, 20, or 30 year durations for the term lengths.

For my quote, I chose 20-year term and $500,000 of coverage.

Step Five: Review Your Answers

Now, just review that you've answered correctly and click to continue.  Here's a peek at the information I entered.

My Personal State Farm Quote Answers

Step Six: Select Any Optional Riders

In this step, you can choose to add an additional insured, waiver of premium rider, or coverage on a child.  I reviewed these options above.

For my quote, I selected "No" to the waiver of premium offer and clicked to "Get a Quote."

State Farm Waiver of Disability, Spousal Coverage, Child Coverage Options

Once you click the "Get a Quote" button (Not seen in the image above, but it was right below the "Coverage for eligible children" box), you'll see your quotes on the next page.

Step Seven: Review Your Quote, Edit As Needed

Finally, you've got your free quote!

Here's how mine came back.

Once again, this was for a male, 42 years old, in excellent health, for $500,000 of coverage and a 20-year term:

My 20 Year Term 500,000 Life Insurance Quote from State Farm

Eager to see how this State Farm rate stacks up against the competition?  Click here to learn why State Farm costs up to 137% more!

On this screen, you can click to "Change Terms" and go back to modify the inputs for your quote.  

You can also change the payment mode from monthly to annually.  You'll see you get a bit of a break on the payment if you pay yearly.

If you like what you see, you can send the quote to an Agent so they can help you purchase the policy.  

Overall, the process is quite quick and easy.

Pricing: How Much Does State Farm Life Insurance Cost?

I realize just a single quote doesn't tell you much about how much State Farm life insurance costs, so I ran the quote above against some of my favorite companies.  

Using the same inputs, I was able to get a quote for $35 per month from AIG, a 24% savings over State Farm's $46.09 quote.

Life Insurance Shopping Reviews vs State Farm Quote Results

Want to run similar quotes using our system?  Click here for our free quote form (no personal info required!)

At this point, you may be thinking, "Hold on, Chris!  You said State Farm costs as much as 137% more.  $46 bucks is NOT 137% more than $35!"

If you thought that, give yourself a pat on the back because you are one smart cookie.

And I have full faith in your capability to follow my examples below where State Farm does indeed cost over double the price of using another company.

You can click here to skip to it now.

Additionally, here are some quotes that may get you thinking.

$100,000 - 20 Year Term Life Insurance - State Farm vs Top "No Exam" Life Insurance Companies (Monthly Rates)

Male

Age 30

Age 40

Age 50

Age 60

Haven

$10.57

$13.25

$26.20

$64.72

Ladder

$14

$17

$32

N/A

Ethos

$10

$15

$33

$86

State Farm

$12.88

$17.14

$27.06

$64.38

Quotes run manually through our carriers as well as at StateFarm.com in Jan. 2022 using their best rating for males, known as Elite Preferred.

In the quotes above, you'll see State Farm is actually quite competitive with the other companies on the list.  Their rates are a bit higher for ages 30 and 40 than the others but one of the lowest for age 50!

The problem?

You have to take an exam to buy the State Farm policy!  None of the others require exams.

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Case Study:  How you could overpay by as much as 137% with State Farm!

Generally speaking, the best way to save on life insurance is to buy from a company who will put you in the best health category.

The problem?

Most people have no idea which health category they will qualify for, and assume all life insurance companies will rate their health about the same.

Here are three scenarios where State Farm rates health drastically differently than its competitors, and even a scenario where buying from State Farm would cost you 137% more.

Now, you can watch the video summary of this section below or read through the case studies, whichever you prefer.

Case Study #1 - A $4,800 Mistake to Buy From State Farm Just for Having a Muscular Build!

Let's say you're a 6'2 man in excellent health and 42 years old like me.  You see the quote I got from State Farm for $46 per month (20-year term, $500,000 coverage) and think, "Not bad.  I think I'll buy that."

You exercise and eat well, and have excellent blood pressure and cholesterol, so you figure you'll get the same great rate that I got.

In fact, the only difference between you and me is your build.  You are not chubby but due to your muscular frame, you weigh 220 lbs.  

So you go to StateFarm.com and run your quote.  But instead of showing you $46 per month, State Farm quotes you $55.24 per month.

State Farm's Preferred Rating - 220 lbs, 6'2

You see, as you increase the weight in the quoter, eventually you no longer qualify for State Farm's best rate.

At 6'2, the max weight for their best rate happens to be 208 lbs.

The problem is most people don't realize that other companies might still approve them at a best health class rating, so they just pay the higher rate.

In this case, it would be a 57% mistake.

Remember the quotes I got earlier:

Life Insurance Shopping Reviews vs State Farm Quote Results

AIG, who shows up as the #1 quote, allows you to weigh up to 229 lbs if you're 6'2, and still get their top tier health rating.

That’s because AIG considers any individual under a 29.5 BMI a “preferred plus” risk.

If you didn't know this and bought from from State Farm instead, you would have unnecessarily paid $20 extra per month for 20 years.  That works out to $240 per year or a whopping $4,800 over the lifetime of your policy!  Wow!

>> You may want to get another quote before choosing State Farm. Click here our free quote form.

Case Study #2 - Paying 80% More for Life Insurance Due to Mildly Elevated Blood Pressure

For this example, let's take another man my age, 42, who is getting a 20-year term policy for $500,000 of coverage.

Let's again assume that the individual is in great health, doesn't smoke, and has an excellent height and weight.

His problem?

He's got mildly elevated blood pressure of 124/80.

Given that normal blood pressure is considered to be 120/80, a reading of 124/80 may not seem like a big problem to you.

At most companies, you'd be right.

But it's a big problem if you want to buy life insurance from State Farm!

Let's have a look at their blood pressure requirements.

State Farm Health Screening in Online Life Insurance Quote System

As you can see, he can't qualify for the "Excellent" category since his blood pressure is greater than 115/70, nor can he qualify for the "Good" category since his blood pressure is higher than 120/75.

Instead, he'll fit into their 3rd class, "Average," and pay $63.49 per month.

State Farm's Average Rates

Again, though, we have the unlucky and unncessary scenario in which an unknowing applicant may just pay the $63 per month without realizing he could qualify for the best rate with other companies.

For example, take a look at AIG's blood pressure requirements for their best class.

State Farm's Blood Pressure Requirements are Restrictive Compared to Other Insurance Carriers Like AIG

If you're under 59 years old, you can qualify for AIG's best class, known as "Preferred Plus Non-Tobacco" so long as your blood pressure is under 135/85.

In other words, a 124/80 blood pressure will drop you two health classes and change your rate from $46 to $63 per month at State Farm, but with that same blood pressure, you can still qualify for AIG's best rating!

If you recall, we have a quote on hand from AIG for $35 per month.

By purchasing through State Farm, you'd pay a ridiculous 80% more!!

Americans are terrible at this one thing...

recent study found that more than half of Americans overestimate the cost of term life insurance by three times.  If you've never gotten a personalized quote or only seen quotes from one company, you likely have no idea how inexpensive life insurance really is!

Case Study #3 - Individual with "High" Cholesterol Pays 137% More!!

Now you'll see the real problem with just choosing a company you want to buy from and not shopping around.

In this third example, we're going to use all the same inputs as in the previous examples:

  • Male, non smoker
  • Excellent health
  • Shopping for $500,000 of coverage, 20-year term

But again, we're going to give this man a single health concern.  

He has a "high" total cholesterol level of 240 mg/dL.

But there's a catch.

Our example life insurance applicant has a high level of good cholesterol (HDL) to bad (LDL).  Let's say his HDL is 80 mg/dL.

That gives him an "HDL ratio" of 3.0 which is very good.

Many doctors (and some insurance companies) are less concerned with the total cholesterol level and more concerned with your HDL ratio - good cholesterol (HDL) to total cholesterol.

According to State Farm's chart, they go by total cholesterol rather than your HDL ratio.

The max cholesterol you can have for each State Farm class are as follows:

  • Excellent - 175 mg/dL maximum
  • Good - 200 mg/dL maximum
  • Average - 220 mg/dL maximum
  • Fair - 270 mg/dL maximum

In other words, a total cholesterol of 240 mg/dL precludes him from qualifying for the top 3 health classes at State Farm.

Instead, he'll qualify for their "Fair" rate, which will cost $83.09 per month.

State Farm's Fair Rating

Yet, here again our applicant may feel "stuck" with this quote.  He might speak to a State Farm agent who tells him, "Yeah, you have really high cholesterol. That's the best State Farm can offer you and other companies are going to penalize you for that level of cholesterol as well.  Sorry."

But this time, if our example life insurance shopper bought from State Farm, he'd be making the gravest of mistakes.

A good independent agent would know to place this individual with AIG where he could still get their best rate.

Let's take a look at AIG's cholesterol guidelines for their best class:

State Farm Cholesterol Levels vs AIG Max Levels

Again, we have the underwriting guidelines for AIG above.

Across all health categories, they require an individual's cholesterol not to exceed 300 mg/dL.  

No problem!  Our sample applicant's cholesterol is 240.

Next, in order to qualify for their best rating, "preferred plus non-tobacco," AIG requires that their HDL ratio cannot exceed 4.5.  Our sample applicant's HDL ratio is 3.0.

Therefore, we again have a scenario where our sample life insurance buyer could not qualify for State Farm's best rate, but could qualify for another company's best rate.

But this time, State Farm's rate is a whopping $83.09 per month.

That's $48 per month more than AIG's best rate, which we have now seen many times and costs just $35 per month!

To put it in other words, by buying from State Farm instead of AIG, our "high" cholesterol individual would pay 137.14% more per month or an incredible $11,520 more over the lifetime of this 20-year plan!!

>> You may want to get another quote before choosing State Farm. Click here our free quote form.

Does State Farm Always Cost More?

I want to be clear that I've chosen some very specific instances where State Farm gets their shorts eaten by another insurance company.

But that's not always the case.

If you're in excellent health, you may actually qualify their best rate.  And their best rates, as we've seen above, aren't too bad.

The problem is a general difficulty in earning their best rate.  If it's not their stance on cholesterol, or height and weight, or blood pressure, it might be something else that knocks you out of their top tier rates.

You may or may not know, but insurance companies look at a host of factors when determing your health classification including:

  • driving history
  • family history of disease
  • tobacco or marijuana use
  • occupation 
  • foreign travel
  • and more!!

I don't know how tough State Farm is in all of these areas.  It's possible they have a few soft spots in their underwriting, but based on the requirements they do publish, I would say they are incredibly strict... one of the toughest I've seen.

In conclusion, unless you're the picture of health, I highly recommend you get another life insurance quote before buying from State Farm.

Pros and cons of State Farm life insurance: The Good, the Bad, and the Ugly

Despite my opening comments, there are certainly advantages to buying life insurance from State Farm.  There are disadvantages as well, however.

I'll lay out the pros and cons and you can be the judge whether the good outweighs the bad.  

Pros:  The Case for State Farm Life Insurance

There are three main advantages to buying life insurance from State Farm.

  1. Peace of Mind / Familiarity
  2. Convenience
  3. Multi Line Discounts (MLD)

Pro #1 - Peace of Mind / Familiarity

State Farm is a very reputable, highly rated company. 

It's important that if your loved ones ever need to file a life insurance claim, the insuring company can actually pay the claim!!

In that regard, State Farm is a gem.

You don't ever have to worry about them being able to make good on their obligations.

They're also familiar!

We all know and enjoy their entertaining commercials with NFL quarterback, Aaron Rodgers, and Jake along with his khaki pants. And their Discount Double Check is a clever marketing slogan we all recognize.

When considering who to do business with, sometimes it just feels safer to do business with a big company who you feel like you know.

Pro #2 - Convenience

Another advantage to working with State Farm is convenience if you are a current home or auto insurance client.

"Why split up my insurance coverage between different companies?" you might think.

I'll say this.  No one wants to deal with insurance more than they must.  So when it comes to filing a claim, changing a beneficiary, or logging in to change your payment details, I can understand the benefit to having a single place to do so.

So that's a huge benefit.

Pro #3 - Multi-Line Discount

Many insurance companies offer a multi-policy bundle discount if you buy two or three of different lines of coverage through them.

State Farm offers a discount on auto insurance when you combine auto and life insurance.

State Farm Life Insurance and Auto Insurance multi policy discount

Screenshot taken from StateFarm.com, January 2022

While it's not technically a discount on life insurance, you could certainly look at it that way. 

Say, for example, that State Farm gives a *5% discount on your annual auto policy premium of $200 per month.  That would be a savings of $10 per month.  

And say your life insurance premium costs $30 per month.  You could look at it like a 33% discount on your life insurance just as easily as on your auto insurance.

*As a disclaimer, I don't know how much of a discount State Farm offers for this.  These are just sample calculations.

Cons:  5 Reasons to Avoid STATE FARM

I wish I could continue with the list of pros, but the news is unfortunately not 100% sunny.  There are several reasons you should avoid, or at least compare quotes from another life insurance company, before buying from State Farm.

Con #1 - They're Expensive!

Even before we looked at the health issues in our case studies above, State Farm already cost 24% more.

Con #2 - Restrictive Underwriting Guidelines

According to their published requirements, they are pretty tough on underwriting.

I mean, how many people have a cholesterol lower than 175 and blood pressure lower than 115/70.  Those are really low numbers.

And yet, that's what you have to accomplish to get their best health class.  See case studies above.

Con #3 - Restrictive Issue Ages

If you're in your late 40's or 50's and want a 30-year term policy, you can't get it from State Farm.  You'd have to buy a universal life or whole life policy instead, which costs a lot more.

That's because State Farm has a 45 year old max age for 30 year term.

For comparison purposes, most companies have a max age of between 50 to 55 for 30 year term.

Con #4 - Their "No Exam" Offering is Pretty Lame

You can only get $50,000 without an exam at State Farm.  These days, that's exceptionally low.

Nearly all the new no-exam companies offer the ability to get at least $1,000,000 without an exam.  Ladder Life insurance allows you to buy up to $8 million without an exam.



Skip the Needles!

Want to take the "pain" out of life insurance?  We don't blame you!  Ladder Life Insurance is our #1 recommended no-exam company offering 10, 20, and 30 year plans up to age 60.  See if you qualify for "no exam" today.

Quotes are quick, easy, and free! 


Con #5 - Go to State Farm, Buy from State Farm

Probably the biggest issue I have with buying life insurance from State Farm is that they're a single company.

You're sort of boxed in by going to them for a quote.

It's the old moniker that if all you have in your toolbox is a hammer, everything looks like a nail.  Well, if you go to a State Farm agent and all they have to sell you are State Farm life insurance products, guess what you're going to get!

The problem is everyone is unique.  We are all trying to solve unique problems, whether it's getting a longer term, or saving money, or getting more coverage, or something else.

Instead, I'd highly recommend that you work with an independent agent who can shop the market for you and get the perfect policy for you at a great rate.

Reviews, Testimonials, & Complaints (BBB, Glassdoor, and Reddit)

As a massive company, you can imagine that State Farm is on every possible review site including the BBB, Glassdoor, and Reddit.  Let's have a look at what they have to say.

State Farm Complaints, Testimonials, Reviews from Reddit, Glassdoor, BBB

BBB Rating:

State Farm has a B- at the BBB.  Overall, they have an average of 1.21 out of 5 starsin 358 reviews, and have received a total of 1,411 complaints the last 3 years.  Of course, I'd have to assume 99% of this is to their auto and home insurance offerings.

Keep in mind, people generally complain in review sites like this while happy people rarely leave feedback. For example, Farmers Insurance has a 1.35 star rating and has an A-.  So they're a bit better, but not much.

Glassdoor Rating:

If you're not familiar with Glassdoor, this is a rating service of current and former employees.  Want to know the truth about what's "behind the curtain" at a  company?  Ask its employees!

Overall, State Farm has a 3.6 star rating out of 5.  They rank best in diversity & inclusion at 3.9 stars, and worst in senior management at 3.2 stars.  60% of all employees would recommend working there and 68% approve of the CEO.

State Farm Glassdoor Ratings

Screenshot taken from Glassdoor.com, January 2022

Reddit:

Reddit is a great place to get the pulse of what the public is saying about a company.

Here are a handful of the most lively threads being discussed on Reddit as it relates to State Farm.

State Farm Customer Service:  Claims, Payment, Cash Out, Policy Assistance

State Farm has extensive customer service options for making a payment, filing a claim or making changes to a policy.

State Farm Customer Service Phone Number:

If you need help with policy assistance (like changing your bank draft information), making a payment, or getting cash out of your policy, you can either call your State Farm agent or their toll free number at 1 (800) 782-8332.

File or Track a Claim:

You can file a claim at: https://www.statefarm.com/claims/file-a-claim

You can track your claim at: https://www.statefarm.com/claims/check-existing-claim

How to Make a Payment, Update Bank Info for Draft, or Debit Card Info

There are four ways you can contact State Farm with payment requests:

  1. Call them 24/7 at 800-440-0998
  2. Pay your bill online at: https://financials.statefarm.com/guest-pay/
  3. Pay your bill with the mobile app
  4. Mail them at the following address:

State Farm Insurance Companies
Insurance Support Center – East
P.O. Box 588002
North Metro, GA 30029

Instant term quotes from Haven Life with no personal info required!

State Farm LIFE iNSURANCE LOGIN

If you simply want to check on your life insurance policy status such as your policy values, policy date, premiums, and whether your policy is active or in force, you can do so using the login function at:  statefarm.com

FREQUENTLY ASKED QUESTIONS IN State Farm REVIEWS

Is State Farm a good company?

In many ways, I they do a lot of good and are a good company, especially when it comes to home and auto insurance.  But they're pretty expensive when it comes to life insurance.

What exclusions are there?

Like all insurance companies, there will be fine print and exclusions on your life insurance policy.  Many companies, for example, have a suicide clause stating that if you die by suicide during the first two to three years, they will not pay out.  Since State Farm does not publish this sort of information to the public, you will need to read your policy for the exclusions.

Does State Farm offer life insurance for seniors?

Yes, they do have policies for older individuals.  For example, their final expense offering is eligible up to age 80 in many states.

State Farm Life Insurance Alternatives

Many of the following companies have better products and cheaper prices versus State Farm Life Insurance.  Some even offer no medical exam policies.

AIG_Direct

AIG Direct Life Insurance Review

AIG Direct offers online quotes, works with healthy people (plus people in less-than-perfect health), and provides options for coverage you may not find elsewhere.

Banner Life logo

Banner Life Insurance Review

Banner Life Insurance company is part of Legal & General Group, a London-based multinational financial services company founded in 1836.  Banner likes to keep their life insurance offerings simple with just term and universal life insurance. 

life insurance geico, geico life insurance review

Geico Life Insurance Review

GEICO offers life insurance products through its partner, LifeQuotes.com.  LifeQuotes.com provides access to dozens of life insurance carriers which makes it easy to get a quote for term, universal or whole life insurance. 

Haven Life Insurance Review

Haven Life Insurance Review

Haven Life Insurance Agency, LLC, is a wholly-owned subsidiary of MassMutual and offers an easy and fast online quoting and application process for term life insurance. 

Ladder Life Insurance Logo

Ladder Life Insurance Review

Ladder has developed an online platform that allows you to apply for life insurance and possibly get instant approval.  They have teamed up with Fidelity Security Life in 49 states and in New York with Allianz Life Insurance Company of New York.

Woman smiling lookin up lemonade life insurance on her laptop

Lemonade Life Insurance Review

Using AI technology and chatbots, Lemonade offers a completely online experience and lightning fast claims processing through its mobile app.  

For more company information, please visit our Life Insurance Company Reviews Page.   If you’re searching for life insurance by term length or dollar amount, please visit this page.

Still have questions?  Call (888) 681-4952

 


Written by:  Chris Huntley

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